“Now is the moment that negotiations are coming to a head.
Now is the moment of truth, on June 5. If there is no deal by
then that will address the current funding problem, they won’t
get any money.”

The country owes more than €320 billion to its external
creditors, and is counting on a €7.2 billion International
Monetary Fund loan installment. Last week the country raided its
International Monetary Fund reserves for a €750 million debt
payment to the IMF.

The euro was hurt on Tuesday by comments of senior ECB
policymaker Benoit Coeure that the lender will accelerate its
easy money program in May and June to
compensate for lower money supply in the market later in July and
August. The euro ended Tuesday’s session down 1.6 percent against
the greenback in its largest 1-day loss against US dollar in 2
months. The yield on the 10-year German bund was down 4.8 basis
points to 0.603 percent with broadly lower yields across Europe.